Texas 2023 88th Regular

Texas House Bill HB3286 Enrolled / Bill

Filed 05/27/2023

                    H.B. No. 3286


 AN ACT
 relating to prescription drug benefits under Medicaid and the child
 health plan program.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Subchapter B, Chapter 531, Government Code, is
 amended by adding Section 531.0691 to read as follows:
 Sec. 531.0691.  VENDOR DRUG PROGRAM INCLUSION. (a)  The
 commission shall ensure that the vendor drug program includes all
 drugs and national drug codes made available under the federal
 Medicaid Drug Rebate Program if a certificate of information form
 to request the drug's inclusion in the vendor drug program has been
 submitted to the commission and:
 (1)  approved by the commission; or
 (2)  subject to Subsection (b), is pending review by
 the commission.
 (b)  On receipt of a certificate of information form to
 request the addition to the Texas Drug Code Index of a drug that is
 available under the federal Medicaid Drug Rebate Program, the
 commission shall, if the commission determines that the drug is
 appropriate for dispensing through an outpatient pharmacy,
 provisionally make the drug available under the vendor drug program
 for a period that expires on the earlier of:
 (1)  the 90th day after the date the form was submitted;
 or
 (2)  the date the commission makes a determination
 regarding whether to approve or deny the drug's inclusion on the
 vendor drug program formulary.
 (c)  The commission shall:
 (1)  denote the provisional availability of a drug
 under this section; and
 (2)  remove a drug made provisionally available under
 the vendor drug program:
 (A)  on the expiration of the 90-day period
 prescribed by Subsection (b)(1); or
 (B)  if applicable, on the date the commission
 denies the drug's inclusion on the vendor drug program formulary.
 SECTION 2.  Chapter 533, Government Code, is amended by
 adding Subchapter C to read as follows:
 SUBCHAPTER C. PRESCRIPTION DRUG BENEFITS UNDER CERTAIN OUTPATIENT
 PHARMACY BENEFIT PLANS
 Sec. 533.071.  PREFERRED DRUG LIST EXCEPTIONS.  (a)  The
 commission shall adopt rules allowing exceptions to the preferred
 drug list if:
 (1)  the drug required under the preferred drug list:
 (A)  is contraindicated;
 (B)  will likely cause an adverse reaction in or
 physical or mental harm to the recipient; or
 (C)  is expected to be ineffective based on the
 known clinical characteristics of the recipient and the known
 characteristics of the prescription drug regimen;
 (2)  the recipient previously discontinued taking the
 preferred drug at any point in the recipient's clinical history and
 for any length of time because the drug:
 (A)  was not effective;
 (B)  had a diminished effect; or
 (C)  resulted in an adverse event;
 (3)  the recipient was prescribed and is taking a
 nonpreferred drug in the antidepressant or antipsychotic drug class
 and the recipient:
 (A)  was prescribed the nonpreferred drug before
 being discharged from an inpatient facility;
 (B)  is stable on the nonpreferred drug; and
 (C)  is at risk of experiencing complications from
 switching from the nonpreferred drug to another drug; or
 (4)  the preferred drug is not available for reasons
 outside of the Medicaid managed care organization's control,
 including because:
 (A)  the drug is in short supply according to the
 Food and Drug Administration Drug Shortages Database; or
 (B)  the drug's manufacturer has placed the drug
 on backorder or allocation.
 (b)  An exception provided under this section does not
 subject the Medicaid managed care plan to liquidated damages for
 failing to comply with the preferred drug list.
 SECTION 3.  Section 531.072, Government Code, is amended by
 adding Subsections (b-3), (g), and (h) to read as follows:
 (b-3)  Notwithstanding Subsection (b), the preferred drug
 lists must contain all therapeutic equivalents for a generic drug
 on the preferred drug list.
 (g)  The commission shall develop an expedited review
 process to consider requests from managed care organizations and
 providers to add drugs to the preferred drug list.
 (h)  The commission shall grant temporary non-preferred
 status to new drugs that are available but have not yet been
 reviewed by the drug utilization review board and establish
 criteria for authorizing drugs with temporary non-preferred
 status.
 SECTION 4.  Section 531.073(b), Government Code, is amended
 to read as follows:
 (b)  The commission shall establish procedures for the prior
 authorization requirement under the Medicaid vendor drug program to
 ensure that the requirements of 42 U.S.C. Section 1396r-8(d)(5) and
 its subsequent amendments are met.  Specifically, the procedures
 must ensure that:
 (1)  [a prior authorization requirement is not imposed
 for a drug before the drug has been considered at a meeting of the
 Drug Utilization Review Board under Section 531.0736;
 [(2)]  there will be a response to a request for prior
 authorization by telephone or other telecommunications device
 within 24 hours after receipt of a request for prior authorization;
 and
 (2) [(3)]  a 72-hour supply of the drug prescribed will
 be provided in an emergency or if the commission does not provide a
 response within the time required by Subdivision (1) [(2)].
 SECTION 5.  Sections 531.0736(c) and (d), Government Code,
 are amended to read as follows:
 (c)  The executive commissioner shall determine the
 composition of the board, which must:
 (1)  comply with applicable federal law, including 42
 C.F.R. Section 456.716;
 (2)  include three [two] representatives of managed
 care organizations [as nonvoting members], all [one] of whom must
 be physicians or pharmacists [a physician and one of whom must be a
 pharmacist];
 (3)  include at least 17 physicians and pharmacists
 who:
 (A)  provide services across the entire
 population of Medicaid recipients and represent different
 specialties, including at least one of each of the following types
 of physicians:
 (i)  a pediatrician;
 (ii)  a primary care physician;
 (iii)  an obstetrician and gynecologist;
 (iv)  a child and adolescent psychiatrist;
 and
 (v)  an adult psychiatrist; and
 (B)  have experience in either developing or
 practicing under a preferred drug list; and
 (4)  include a consumer advocate who represents
 Medicaid recipients.
 (d)  Notwithstanding any other law, members [Members]
 appointed under Subsection (c)(2) may attend quarterly and other
 regularly scheduled meetings, but may not:
 (1)  attend portions of the executive sessions in which
 confidential drug pricing information is shared; or
 (2)  access confidential drug pricing information.
 SECTION 6.  If before implementing any provision of this Act
 a state agency determines that a waiver or authorization from a
 federal agency is necessary for implementation of that provision,
 the agency affected by the provision shall request the waiver or
 authorization and may delay implementing that provision until the
 waiver or authorization is granted.
 SECTION 7.  This Act takes effect September 1, 2023.
 ______________________________ ______________________________
 President of the Senate Speaker of the House
 I certify that H.B. No. 3286 was passed by the House on May 5,
 2023, by the following vote:  Yeas 142, Nays 0, 1 present, not
 voting; and that the House concurred in Senate amendments to H.B.
 No. 3286 on May 25, 2023, by the following vote:  Yeas 139, Nays 0,
 1 present, not voting.
 ______________________________
 Chief Clerk of the House
 I certify that H.B. No. 3286 was passed by the Senate, with
 amendments, on May 21, 2023, by the following vote:  Yeas 31, Nays
 0.
 ______________________________
 Secretary of the Senate
 APPROVED: __________________
 Date
 __________________
 Governor